Dabhol Power comes to life

- By Parinda News Bureau, May 02, 2006, 11:40 IST

After five years, the Maharashtra government has finally partially restarted the Dabhol power plant in its new name, the Ratnagiri Gas and Power Private Limited.

One of India's biggest and most controversial power plants, the Dhabol plant had remained shut for over five years following a power tariff dispute between its promoter Enron Corporation and the sole customer, the Maharashtra state power utility.

While the initial generation will be in the range of 100 MW, right now the power can't be used by anyone. Maharashtra Chief Minister Vilasrao Deshmukh said: "The plant has started at a time when Maharashtra is facing an acute power shortage." He said the power project would gain its full capacity within eight to ten days.

"There was no shortage of Naphtha… but after being shut down for a long period, the plant would take some time to run in full capacity," he added.

The power project can generate up to 740 MW of power by mid-May, but the state is facing a huge deficit of over 4000 MW. It is said that Dabhol power will help tackle Maharashtra's huge power crisis.